Ep #32: Why Restaurant Deals Fall Apart and How To Save Them with Steve Zimmerman | The Restaurant Dealmaker Show

ptotah
Jul 30
2 min read

Restaurant Deal Making EXPOSED! with Patrick Totah and Andy Mirabell | Why Restaurant Deals Fall Apart and How To Save Them with Steve Zimmerman | The Restaurant Dealmaker Show

What are the biggest challenges that can derail a restaurant deal? Restaurant transactions are complex, with multiple parties involved: buyers, sellers, landlords, lenders, and health departments. Any one of these parties hitting a snag can cause months of hard work to unravel in a matter of days. Having been both restaurant owners and now brokers, we understand the emotional and financial stakes that come with these deals.

In this special crossover episode with The Restaurant Dealmaker Show, we’re joined by Steve Zimmerman, a seasoned restaurant broker with years of experience in the industry. We break down the real reasons why deals often fall apart—whether it’s due to time delays, complications with loans, inflexible landlords, or unexpected issues during change-of-ownership inspections. Through our combined experience with hundreds of restaurant transactions at Restaurant Realty, we’ve seen it all.

We share the strategies we use to keep deals on track, including how to manage buyer and seller expectations, navigate landlord negotiations, and handle the due diligence process. You’ll hear examples from real transactions, including a 13-month deal and a creative solution for preserving historical artifacts. Learn how to avoid the common pitfalls and be better equipped to succeed in your own restaurant transaction.

If you enjoyed today’s show and don’t want to worry about missing an episode, be sure to follow the show wherever you listen to your podcasts. We would really appreciate it if you could share the podcast with others who you think would benefit, and leave a rating and review to let us know what you think!

What You’ll Learn from this Episode:

Why time delays are deal killers and how patience can save transactions.
The critical role landlords play and why they’re sometimes called "deal killers."
How loans from the pandemic create new challenges in restaurant sales.
What happens when buyers or sellers try to cancel after removing contingencies.
The difference between actual due diligence issues and emotional reasons for backing out.
Why early possession and pre-closing training can backfire.
How to calculate realistic restaurant valuations using broker opinions of value.